Life insurance as the word goes gives assurance to life. In case of health problems the insurance covers all the cost of hospitalization, medicine, etc. When the insured person dies the family gets the benefits thus by the immediate loss the family can have financial help to reset themselves up. So in a nutshell everybody should get their life insurance done.

Each and every one of the posts above have clarified the reason for a life insurance policy. I will go one step ahead and say it is nearly the first financial product a person purchases as soon as he has independent funds. There is no downside at all as long as you go on paying the premium.

There are two types of life insurance policies: whole life policy and term life policy. In whole life policy, only your nominees will get the policy amount after your death. So, you can die peacefully knowing that your dependents can live well. In term life policy, you get the policy amount after a fixed term or your beneficiaries get the amount after your death before the expiry period of policy. It is simply a way of diversifying risk.

1)Find the right type of policy: Many first-time people think that all life insurance policies are the same.
2)How much coverage do you need? Along with the type of policy, you need to consider how much coverage you need.
3)Which company are you going to buy from? This is a detail that is constantly overlooked. Some people think that all life insurance companies are created equal. This is not the case now, and never will be in the future.

Visit Future Generali’s website to find out different types of life insurance policies and their benefits.

The uses for life insurance benefits may include: Paying final costs: LifeHappens notes that life insurance policy benefits can be used to pay final expenses, including funeral or cremation costs, medical bills not covered by health insurance, estate administration fees or other unpaid obligations. Even expenses such as a mortgage balance can be covered by your benefit.Paying off debt or replacing income: According to ,LifeHappens life insurance benefits can help replace your income if you pass away. Your beneficiaries can use the money to help cover essential expenses, such as paying off a mortgage or securing college educations for your children.Inheritance: The suggests buying a policy with a named heir as a beneficiary in order to secure an inheritance for your loved ones. The death benefit can also serve as a supplement to other inheritance funds you may wish to leave your heirs.Paying federal or state estate taxes: Your heirs may face an estate tax upon receiving their inheritance, depending upon the state of residence and the amount. The III suggests that life insurance benefits may be used to partially or completely offset this cost for your heirs. Consult with your life insurance provider or a financial professional for more information on your projected estate tax impact and life insurance benefit.Charitable contributions: Life insurance policies can be created with your favorite charity as a named beneficiary, the III says. This can help ensure your philanthropic goals are met after you die, and that benefits are provided to your charity of choice — even if you don’t have a very large nest egg or estate.